Wednesday, October 09, 2002

The West's battle for oil




Five months before September 11, the US advocated using force against Iraq ... to secure control of its oil. Neil Mackay on the document which casts doubt on the hawks



IT is a document that fundamentally questions the motives behind the Bush administration's desire to take out Saddam Hussein and go to war with Iraq.
Strategic Energy Policy Challenges For The 21st Century describes how America is facing the biggest energy crisis in its history. It targets Saddam as a threat to American interests because of his control of Iraqi oilfields and recommends the use of 'military intervention' as a means to fix the US energy crisis.

The report is linked to a veritable who's who of US hawks, oilmen and corporate bigwigs. It was commissioned by James Baker, the former US Secretary of State under George Bush Snr, and submitted to Vice-President Dick Cheney in April 2001 -- a full five months before September 11. Yet it advocates a policy of using military force against an enemy such as Iraq to secure US access to, and control of, Middle Eastern oil fields.

One of the most telling passages in the document reads: 'Iraq remains a destabilising influence to ... the flow of oil to international markets from the Middle East. Saddam Hussein has also demonstrated a willingness to threaten to use the oil weapon and to use his own export programme to manipulate oil markets.

'This would display his personal power, enhance his image as a pan-Arab leader ... and pressure others for a lifting of economic sanctions against his regime. The United States should conduct an immediate policy review toward Iraq including military, energy, economic and political/diplomatic assessments.

'The United States should then develop an integrated strategy with key allies in Europe and Asia, and with key countries in the Middle East, to restate goals with respect to Iraqi policy and to restore a cohesive coalition of key allies.'

At the moment, UN sanctions allow Iraq to export some oil. Indeed, the US imports almost a million barrels of Iraqi oil a day, even though American firms are forbidden from direct involvement with the regime's oil industry. In 1999, Iraq was exporting around 2.5 million barrels a day across the world.

The US document recommends using UN weapons inspectors as a means of controlling Iraqi oil. On one hand, 'military intervention' is supported; but the report also backs 'de-fanging' Saddam through weapons inspectors and then moving in to take control of Iraqi oil.

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